Homer News roundup, 12/4

 Hydro project to tap Homer's drinking water

A combination of high energy costs and Homer's unique geography have led city officials to believe the city's main water lines, which descend into town more than 1,000 feet from Bridge Creek Reservoir, should be used to generate hydroelectric power. Now, with $39,000 in local and state funding in hand, engineers can get started on the project, the only one of its kind in Alaska … (read more)

Council may dish up some food tax to balance budget

Faced with a sharp decline in projected revenues, an estimated 68 percent increase in fuel costs and a looming deadline to finalize the Fiscal Year 2009 budget, the Homer City Council held a special meeting Monday to hash out various proposals to mitigate the city's financial challenges.

One idea, supported by council members Dennis Novak, Bryan Zak and Francie Roberts, is to continue at least some taxation of non-prepared foods between Sept. 1 and May 31 … (read more)

Black gunk that fouled heaters, frustrated repairmen identified

Last winter, a mysterious black gunk that clogged up the fuel screens of oil heaters baffled repairmen and fuel companies. After Petro Marine started distributing ultra-low sulfur fuel in early 2008, repairmen saw service calls go from a half-dozen to hundreds.

"I've been basically on the front lines of this," said John Ferrell, "The Toyo Man," who repairs Toyo brand heaters, last winter … (read more)

Homer News, other papers like it, thrive as industry falters

You may have heard the APRN report a couple of weeks ago: "The owner of the Juneau Empire, the Homer News and the Peninsula Clarion is in financial trouble. The papers are all owned by Morris Publishing Group in Georgia. One analyst says there's a greater than a 50 percent chance Morris will have to default on its debts." Since then, concerned readers have called and e-mailed, asking: What does it mean? What's going on? Is everyone OK?

First, thanks for your concern. Life at the Homer News is good -- busy and good … (read more)

Homer gas prices coming down slowly (UPDATED)

The Daily News' Wes Loy has an article today about high gas prices statewide. The House Judiciary Committee held a hearing in Anchorage yesterday with Alaska's two gasoline refiners, Flint HIlls and Tesoro. Jay Ramras (R-Fairbanks) heads the committee and says the two companies have a duopoly and that's what's leading to AK's highest in the nation gas prices.

Meanwhile, Homer seems to be the only place on the road system that still pays more than $4 a gallon ($4.06 the other day at Petro Express). Smokey Norton from Petro Express says it's because the local retailers wait until they fill up their large tanks before they change their prices. I have a complete story on the subject, with comment from Norton and Ramras, but the link on the website doesn't seem to be working right now. Check back here soon and I'll have it up. (UPDATE: Here's the link to yesterday's Homer News gas story.)

Also, I'm working on a story about Armstrong's successful natural gas well at North Fork and how that gas might get to Homer. McKibben did a preliminary story on the well here. Stay tuned for more on the subject.